Zim to double down against trade deficit

Sikhulekelani Moyo Business Reporter

INDUSTRY and Commerce Minister Mangaliso Ndlovu has said the Government is exploring measures to address the negative trade balance, which has been widening due to weak manufacturing sector performance.
In a speech read on his behalf by the ministry’s Bulawayo provincial director, Mrs Mary Chingonzoh, in Lupane to explain the Zimbabwe Industrial Reconstruction Growth Plan (ZIRGP).
Minister Ndlovu said the plan emphasised the importance of supporting local production by developing mechanisms to promote local content.
He said during that period, the plan seeks to address issues such as competitiveness, cost of doing business, and availability and affordability of key enablers.
“There shall be a strong focus on the manufacturing sector, particularly our ability to build a resilient and growing sector,” said Minister Ndlovu.
“We have to deliberately and intentionally deal with the stubborn negative trade balance.
“In my view, the negative trade balance is the failure of the manufacturing sector,” the minister said.
The Zimbabwe National Statistics Agency (ZimStat) said Zimbabwe’s trade deficit for January 2025 was US$96,8 million, a 51 percent decrease from US$197,3 million in December 2024.
While the trade gap declined, it remains too big and unsustainable given that the country continues to lose precious foreign currency importing goods that can be produced locally.